Hostess, I'll Miss You

dforeman · Post by **dforeman** » Mon Nov 26, 2012 10:47 am

Last I heard on the news the other night is that the final round of mediation talks failed. So, it is still good bye Hostess.

dusty · Post by **dusty** » Mon Nov 26, 2012 11:25 am

dforeman wrote:Last I heard on the news the other night is that the final round of mediation talks failed. So, it is still good bye Hostess.

I really doubt that! The Hostess products have been around too long. Someone will buy the operation.

robinson46176 · Post by **robinson46176** » Mon Nov 26, 2012 1:52 pm

dusty wrote:I really doubt that! The Hostess products have been around too long. Someone will buy the operation.

From the beginning I smelled a lot of long range planning in this whole event...

Many things in business are very often not what they seem to outsiders.

.

dforeman · Post by **dforeman** » Mon Nov 26, 2012 4:17 pm

Hopefully somebody will buy up the company. Or if anything, you will see their products popping up under another brand name. I'm not sure if Twinkies are patented under the Hostess Brand but I'm sure the cupcakes and donuts are not. Unfortunately, it does not do anything for the thousands of employees out of work though.

letterk · Post by **letterk** » Mon Nov 26, 2012 4:44 pm

My guess is that someone will buy the recipes and brand names and probably roll them into their existing business. Possible suitors would be companies like the maker of Little Debbie, but others such as bread companies or snack food sellers that already have route businesses such as Frito-Lay would make sense. Less likely candidate such as General Mills often us third-parties middle men to deliver their products.

I doubt anyone is going to restart the business with the existing workforce. Any company is going to want to operate a business as new businesses are started now - without a union and without a pension. Any rehiring would be done without any of the existing benefits. One would hope that all profit above debt obligations would go to fund the pension shortfall and not the private owners.

The interesting thing about closing up is that they filed bankruptcy with assets 500 million less than obligations. That means that anything above 500 millions and costs incurred in the future may be profit. With talk of the brand possibly fetching 1 billion (don't know if this is reasonable), for the owners it probably is a bigger chance to reap huge benefits quickly.

heathicus · Post by **heathicus** » Mon Nov 26, 2012 4:58 pm

robinson46176 wrote:From the beginning I smelled a lot of long range planning in this whole event...

Many things in business are very often not what they seem to outsiders.

.

I have no pity for the union that striked itself out of a job, but based on how self-serving and greedy the executives appear to have been, I don't doubt your assessment at all.

billmeyer · Post by **billmeyer** » Wed Nov 28, 2012 9:42 pm

I love those powdered sugar donuts, but my favorite was always the Hostess Cupcakes! I saw them advertised on the Howdy Doody show and I had been eating them ever since. They were 10¢ back them and I remember getting mad when they went up to 12¢!
Bill

donalexander · Post by **donalexander** » Wed Nov 28, 2012 10:09 pm

Well, not to take the loss of a major source of junk food too seriously, I heard the Hostess assets have been split up.

* The State Department hired all the Twinkies.
* The Secret Service hired all the HoHos.
* The generals are sleeping with the Cupcakes.
* The Ding Dongs have gone to Congress.

tkm · Post by **tkm** » Sat Dec 01, 2012 12:13 pm

Google Vachon :A Canadian Company i know they make stuff for the sweet tooth ,i am sure they ship international
Terry

joedw00 · Post by **joedw00** » Sun Dec 02, 2012 7:38 pm

Twinkies are not gone yet. My wife brought home a box today from WalMart. She said they were on sell for $1.00, and they had a lot of them. Must be trying to get rid of them. The date on it is Dec.13.